European Industrial Policy report calls for social dialogue, shared responsibility for skills training in transition

Industry 2030 just transition graphicA Vision for the European Industry until 2030, released by the European Commission on June 27,  is the final report of a High-Level Industrial Roundtable working group of 20 members from business and academia, and also including the General Secretary of industriAll Europe  and the former Deputy General Secretary of the European Trade Union Confederation (ETUC).  The press release from the ETUC  is titled “Industry 2030 report is a step towards just transitions”, and states: “The comprehensive report puts European industry on a path to an “innovative, sustainable, competitive and human-centered collaborative economy [that] respects planetary boundaries…. It proposes an action plan which includes massive investment in innovation on digital and zero or low-carbon technologies, a commitment to fair and rules-based international trade and to social inclusiveness that leaves no worker or region behind.”

The report is wide-reaching, and includes a strong awareness of environmental and climate change imperatives – for example, amongst the the “game-changing actions” recommended are: Carbon-leakage 2.0 plan: ; a Green Deal with industry which shares risks and benefits, drawing on the principles of the  “Entrepreneurial State” concept outlined by Mariana Mazzucato; standardized carbon reporting; and a Circular Economy leadership role for Europe by 2030.

Some statements on the issue of  Social Dialogue: 

“Climate, energy, raw materials, and bio-economy policies are key areas considered essential for the future of EU industry in terms of challenges and opportunities. They need to go hand in hand with industrial policy and a societal dialogue on what emission reduction and other environmental policies mean in terms of costs, benefits and behavioural changes for everyone. (p. 13)

Considering the speed with which technologies and new business models transform entire industries, planning structural disruption regularly and proactively is key. The establishment of a culture of social dialogue at all levels (company, sector, regional, national) becomes imperative to ensure smooth and just workforce transitions, to help re-train those whose jobs are at risk and to support the regeneration of adversely affected regions.”(p. 19)

Ensure social fairness of industrial transition:  Foster a culture of constructive and effective social dialogue at all levels of the economy (company, sector, country), according to national industrial relations systems and timely information and consultation processes as key elements for anticipating and managing change, i.e. skills.”

Selected statements from the extensive proposals re education and training: 

“Link education and training  policy more strategically to the industrial policy for instance by reinforcing cooperation between companies (especially SMEs), social partners & industry and education and training providers.

Enhance industry’s active role in upskilling and skills development. EU citizens of all ages need to be sensitized to engage in lifelong learning. At the same time, private sector, in collaboration with EU, national and European social partners, should be encouraged to provide training and life-long learning opportunities for all workers. This could be done by establishing new and innovative educational programmes and solutions to complement the role of academia and scaling-up successful existing initiatives, e.g. work-based learning and dual systems , modularized learning offer, e-learning; promotion of quality and effective apprenticeships; promotion of sector-specific training initiatives; providing adult learning opportunities to prevent skills obsolesce and support employability; installing a culture of lifelong learning, including through the promotion of the internal mobility of workers inside the company….

Maintain or increase the employability of the workforce, especially in sectors in transition, by up- and reskilling of the workforce to the jobs of the future, and supporting a smooth transition from one job to another (group outplacement, employment cells, tailor-made training programmes, job search assistance). This should be a shared responsibility between industry and the public sector.”  (p.32)

Build a pan-European coalition involving the EU, Member States, regions, industry, education and training systems and trade unions to take a systemic approach to skills…. Under the coalition, the EU will build on existing instruments to further facilitate flexibility and fast response mechanisms to react to changing labour market needs through procedures for the certification and compatibility of skills
and qualifications across borders and industrial sectors, e.g. using skills badges, which shall recognize informal learning, e.g. by working in a company. (p.33)

Amnesty International campaign calls for better mining, manufacture, and disposal of electric vehicle batteries

golf electricWhile the Nordic EV Summit   in March 2019 showcased progress on the adoption of electric vehicles, Amnesty International used that backdrop to  issue a challenge to leaders in the electric vehicle industry –  to produce the world’s first completely ethical battery, free of human rights abuses within its supply chain, within five years.

It is not news that the mining of  cobalt and lithium, the two key minerals in batteries, has been linked to human rights abuses, environmental pollution, ecosystem destruction and indigenous rights violations.   Amnesty was amongst the first to document the child labour and human rights abuses with a report This is what we die for   in 2016,  updated in  2017 by an article,  “The Dark Side of Electric Cars: Exploitative Labor Practices”.  More recently, “Indigenous people’s livelihoods at risk in scramble for lithium, the new white goldappeared in The Ethical Corporation  (April 9), describing the human rights situation in Argentina, Bolivia and Chile, which hold 60% of the world’s lithium reserves. The environmental impacts of deep-sea mining are also of concern.

In addition to the mining of raw materials, battery manufacturing has a high carbon footprint, with most of the current manufacturing concentrated in China, South Korea and Japan, where electricity generation remains dependent on coal and other polluting sources of power.

Finally, the issue of electronic waste, including batteries, has been the subject of several  reports:  From  the International Labour Organization :  in 2012,  Global Impact of E-waste: Addressing the Challenge and more recently,  Decent work in the management of electrical and electronic waste (e-waste) , an Issues paper produced for a Global Dialogue Forum on Decent Work in the Management of Electrical and Electronic Waste in April 2019.  The 2019  report provides estimates of the workforce involved in some countries – led by China, with an estimated 690,000 workers in 2007, followed by up to 100,000 in Nigeria , followed by 60,000 in Dhaka, Bangladesh.  The report deals mainly with occupational health and safety issues and includes an overview of international  e-waste regulation, as well as case studies of  the U.S., Argentina, China, India, Japan, Nigeria.  Similar discussions appear in  A New Circular Vision for Electronics Time for a Global Reboot , released by the E-waste Coalition at the 2019 World Economic Forum, and in a blog, Dead Batteries deserve a Second Life published by the International Institute for Sustainable Development on April 9.evcobalt-lithium-V2_1-supply-chain

Clearly, there are labour and environmental problems related to lithium-ion batteries and the green vehicles and electronic devices they power.  Recognizing  all these concerns, the new Amnesty International campaign is calling for:  improvement in human rights practices in mining, and  a prohibition on commercial deep-sea mining; disclosure and accounting for carbon in manufacturing, and for legal protection and enforcement of workplace rights such as health, equality and non-discrimination; finally for products to be designed and regulated to encourage re-use and penalize waste, with prevention of  illegal or dangerous export and dumping of batteries.

Business looks at climate change: Davos publications include auto manufacturing, electronic waste

The overall theme of the World Economic Forum meetings in Davos Switzerland in 2019 was the 4th Industrial Revolution. Climate change issues were top of mind in discussions, as the annual  Global Risks Report for 2019  had ranked the top global risks to the world as  extreme weather and climate-change policy failures.  Discussions, speeches, blogs and reports are compiled on the themes of The Future of the Environment and Natural Resource Security and Climate Change   .  Highlights include : “6 things we learned about the Environment at Davos” , an overview which highlights Japan’s pledge to  use its G20 Presidency to reduce plastic ocean pollution; the launch of a new organization called Voice for the Planet  to showcase the youth climate activist movement: and  a pledge by 10 global companies have to take back the electronic waste from their products.  Also of interest, the speech by Greta Thunberg, who is at the centre of the new youth climate activism – “Our House is on Fire” ; and “Why income inequality is bad for the climate”,  a blog by the President of the Swedish Trade Union Confederation.

WEF Reports of interest: Improving Traceability in Food Value Chains through Technology Innovations, which offers technology as a means to make the current industrial food system safer (and possibly more sustainable).   Shaping the Sustainability of Production Systems: Fourth Industrial Revolution technologies for competitiveness and sustainable growth  discusses the coming world of manufacturing, focussing on the electronics and automotive industries of  Andhra Pradesh, India and the automotive industry in Michigan U.S.A., including a discussion of Cobotics 2.0 (collaborative robots) , Metal 3D printing, and “augmented workforce”.

new circular vision for electronics - 2019 reportThe circular economy was also discussed, with a spotlight on electronic waste, which is estimated at 50 million tonnes of produced each year currently.   A New Circular Vision for Electronics Time for a Global Reboot  was released by the E-waste Coalition, which includes  the International Telecommunication Union (a UN organization), the International Labour Organization (ILO), the United Nations Environment Programme (UNEP) and others.  The report, summarized here,  is an overview of  e-waste production and recycling, and includes a brief discussion of labour conditions, calling for upgrading and formalization of the recycling industry as a “major opportunity”. It states:  “the total number of people working informally in the global e-waste sector is unknown. However, as an indication, according to the ILO in Nigeria up 100,000 people are thought to be working in the informal e-waste sector, while in China that number is thought to be 690,000.” As for the dangers… “using basic recycling techniques to burn the plastic from electronic goods leaving the valuable metals (melting down lead in open pots, or dissolving circuit boards in acid) lead to adult and child workers, as well as their families, exposed to many toxic substances. In many countries, women and children make up to 30% of the workforce in informal, crude e-waste processing and are therefore particularly vulnerable.”  According to the report, the International Labour Organization is scheduled to release a new report in March 2019, to be titled  Decent work in the management of electrical and electronic waste.

Canadian Circular Economy coalition launched at G7 meetings

Circular economy group shot 2018The Circular Economy Leadership Council  (CELC) of Canada was launched at the Halifax meetings of G7 Environment, Energy and Ocean ministers on September 20, when the focus was on plastic pollution of our oceans.  The CELC is a Canada-wide, non- profit coalition which includes corporate and NGO leaders, think tanks, and academics,  with a dual goal “to eliminate waste and accelerate the reduction of carbon emissions from the Canadian economy.”  Their immediate objective is to develop and publish a Circular Economy Roadmap which will serve as a national strategy document. More details appear in their  bilingual brochure .

Co-chairs of the coalition are David Hughes, President and CEO of Natural Step Canada, and John D. Coyne, Vice-President and General Counsel of Unilever Canada.  Founding members are listed as: Unilever Canada • IKEA Canada • Loblaw Companies Limited • Walmart Canada • NEI Investments LP • International Institute for Sustainable Development • National Zero Waste Council     • Smart Prosperity Institute • The Natural Step Canada, and  • Institut EDDEC – Environment, sustainable development and the circular economy  in Quebec.  The CELC also declares strong working relationships with two well-established  Circular Economy organizations –  the Ellen MacArthur Foundation  based  in the U.K., and Sitra in Finland, which organized the first World Circular Economy Forum in Helsinki in June 2017,  with 1,600 participants from  100 countries.  The 2nd World Circular Economy Forum will take place in Yokohama, Japan on 22-24 October 2018.

Circular economy contributes to clean growth – but what are the implications for jobs?

Circular economy coverGetting to a Circular Economy: A primer for Canadian policymakers was released by Smart Prosperity (formerly Sustainable Prosperity) on January 24, the first in a planned series of policy briefs and blogs on the topic. This introductory Primer starts from the widely-held premise that current global production and consumption models are unsustainable,  and states that “Canadian discussion on the circular economy has been overshadowed by the national emphasis on climate change and clean growth. In fact, the two approaches have significant goals in common: a focus on a low-carbon economy and on economic growth, innovation and new technologies.”

The Primer uses  a broad  definition developed by Canada’s Circular Economy Lab (CEL):  circular economy is “an approach to maximize value and eliminate waste by improving (and in some cases transforming) how goods and services are designed, manufactured and used. It touches on everything from material to business strategy to the configuration of regulatory frameworks, incentives and markets.” The Policy Brief provides a catalogue and description of the major circular economy policies and initiatives from around the world, especially Europe; from Canada, these include the National Zero Waste Council,  the Circular Economy Lab , L’Institut d’environnement, du développement durable et de l’économie circulaire (EDDEC)  in Quebec, and BioFuelNet , through which Warren Mabee of the ACW conducts research on advanced biofuels.   The Brief concludes by proposing  “Top 6 Tools for Accelerating the Circular Economy in Canada” , including  extended producer responsibility programs and policies; green procurement;  and public investments in circular economy related research, development, innovation and pilots.”  The Brief identifies one of the research gaps as the need to understand the social and employment impacts of the circular economy, and how to manage them.

In related news, on January 22 at the World Economic Forum meetings in Davos, the Platform for Accelerating the Circular Economy (PACE) was launched , with an agreement between the United Nations Environment Program and the Ellen MacArthur Foundation, the prominent U.K. charity whose mission is to accelerate the shift to a circular economy. To kick off the project,  eleven global corporations pledged that all their packaging will be reused, recycled or composted by the year 2025.